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NVIDIA (NVDA 140.28, +4.09, +3.00%) opened higher after the
company announced the expansion of its RTX product line.

Yesterday evening, NVIDIA CEO Jen-Hsun Huang appeared at the
Consumer Electronics Show, where he unveiled the GeForce RTX 2060 video card,
which will become available for sale on January 15 with a price tag of $349.

Recall that NVIDIA launched top-end cards from its new RTX
line in late September. Those cards were met with lukewarm reception due to
their high selling price and the lack of software titles that took advantage of
the new ray-tracing technology. In short, the launch did not live up to the expectations
that had been set by the previous line of GTX cards, which hit the market in
2016.

With yesterday's announcement, NVIDIA is looking to satisfy
middle-market demand from users who were unwilling to pay more than $500 for a
new video card and the real-time ray tracing and Turing architecture GPU
capabilities it provides.

In addition to announcing the RTX 2060 card, NVIDIA’s CEO
noted that laptops featuring cards like RTX 2060, RTX 2070, and RTX 2080 will
be available in more than 40 new models from various manufacturers beginning on
January 29.

NVIDIA's gaming segment is responsible for more than 60% of
the company's annual revenue, meaning the company's performance is highly
dependent on the sales of its video cards.

The company's fourth quarter earnings report, which was
released in mid-November, pointed to an inventory build-up, resulting in part
from falling demand for cards used for mining of cryptocurrencies. However,
with the company broadening its offering of new RTX cards, it appears NVIDIA
has worked through a glut of leftover GTX cards.

The success of these recent efforts will be judged by the company’s
strength of sales. NVIDIA is expected to deliver its next quarterly report on
February 7.

NVIDIA (NVDA 140.28, +4.09, +3.00%) opened higher after the
company announced the expansion of its RTX product line. Yesterday evening, NVIDIA CEO